That doesn't always work out too well for the rest of us, since it's hard to tell how long the bad times will last, or the good times. Everybody knows the real estate market cycles up and down, but people always ask when I think prices will bottom out. No crystal ball.Sound economic policy says you spend and accumulate debt when times are bad, and you pay off debt when times are good.
As mentioned above, timing isn't everything, but it sure helpsAs things evolved, the bulk of the cuts kicked in after the short-lived recession had ended and the cuts were continued despite a growing war-driven deficit. This contributed to over-heating of the economy and helped to lay the framework for the current collapse.
Since career politicians have little concept of living within a budget, and have not shown any propensity to wean themselves off this habit, I don't have a whole lot of faith they will turn over a new leaf. The re-cycling of previous political "players" into the new administration doesn't give me a lot of hope for such an "epiphany" to occur for these people.However, the risk that the same spending attitude will be repeated as politicians become addicted to easy cash is real. I hope the admninistration will have the intestinal fortitude to begin generating surpluses to pay down debt once the economic crisis begins to fade.